Answer to Question #71699 in Microeconomics for nicolas
Whenever resources are particularly scarce, demand exceeds supply and prices are driven up. The effect of such a price rise is to discourage demand and conserve resources. The greater the scarcity, the higher the price and the more the resource is rationed. However, there is not a waiting time.
Non-price rationing mechanism
Non-price rationing, this is an alternative mechanism for rationing the good. Waiting in line as a means of distributing goods and services. Thus, there is no price rationing (conditions apply). However, there is a waiting time.
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